Barratt optimistic after cutting losses
Coalville housebuilder Barratt Developments has posted reduced losses for the second half of 2009. The company reported a pre-tax loss of £178.4m this morning, £129.9m of which related to finance costs, compared with a loss of £594.5m a year earlier. Sounding an optimistic note, Mark Clare, group chief executive, said: “During the last six months, we have improved our trading performance, successfully refinanced the business and invested in new land. The value of our forward order book is now up 27 per cent year on year, and with our ongoing focus on optimising selling prices, we are expecting to see significant improvements in operating margin in the second half.” Clare said Barratt has 27 per cent more orders on its books than this time last year. Some 5,053 homes were completed in the six months to the end of 2009, compared with 6,905 in the same period in 2008. Revenue came in at £872.4m, compared with £1.3bn in 2008.
